The Lordstown Motors Corp. electric pickup truck. Endurance is shown during an opening event in Lordstown, Ohio, USA, on Thursday, June 25, 2020.
Matthew Hatcher | Bloomberg | Getty Images
Hindenburg Research said on Friday that it took a short position with Lordstown Motors, causing the shares of the electric pickup truck to fall more than 17% in the pre-market.
“Lordstown is an over-the-counter electric vehicle SPAC and no salable product, which we believe has misled investors both in their demand and in their production capacity,” said Hindenburg.
Lordstown did not immediately respond to a request for comment from Reuters.
The company said in January that it received more than 100,000 non-binding production reserves from commercial fleets for its EV truck.
“Our conversations with former employees, business partners and an extensive review of documents show that the company’s orders are largely fictional and used as a support to raise capital and confer legitimacy,” said Hindenburg on Friday.